Source Documents

Question 1

Receipts

Answer 1

A business issues to prove that an amount of money was received

Question 2

What is used when transaction is recorded in the business’s books?

Answer 2

The duplicate receipt

Question 3

What is a bank deposit slip?

Answer 3

When money is deposited into the business’s bank account. Usually made at the end of the day

Question 4

What is the point of the “Analysis of Receipt”?

Answer 4

It is a column in the cash receipts journal- at the end of the day we have a total that we must write on the bank deposit slip.

Question 5

What is a Cash Register Roll?

Answer 5

It is a till slip. It is used as the source document to record all receipts

Question 6

Explain the accounting cycle:

Answer 6

1. Transaction takes place.
2. Source Document is completed.
3. Entry into journals.
4. Posting to the General Ledger.
5. Composition of the Trial Balance.
6. Financial statements at the end of the year.